How do you balance between out-of-the-box functionality and custom development in PLM?

Balancing Out-of-the-Box Functionality and Customizing in SAP PLM

In the realm of SAP Product Lifecycle Management (PLM), businesses face a key decision: Should they stick with out-of-the-box (OOTB) functionality, customize the solution using built-in tools, opt for custom development or modifications? Striking the right balance is essential for efficiency, scalability, and cost-effectiveness.

Understanding the Four Approaches

1. Out-of-the-Box (OOTB) Solutions

OOTB functionality refers to the pre-built features of an SAP PLM system that require no modifications. These solutions are ready to deploy and offer the fastest implementation.

Pros:

  • Faster Deployment: Businesses can go live quickly without additional setup.
  • Lower Costs: Vendor-supported solutions reduce maintenance expenses.
  • Future Compatibility: Standard features are typically compatible with future SAP upgrades.

Cons:

  • Limited Flexibility: Businesses may need to adjust their processes to fit the system.
  • Potential Gaps: OOTB may not fully address unique business requirements.

2. Customizing SAP PLM Solutions

Customizing (often used synonymously with configuration in SAP) involves tailoring the system using built-in tools like SPRO, BRF+, or SM30, without altering the core SAP codebase. This approach allows businesses to adapt the software to their needs within the vendor-supported framework.

Pros:

  • Better Alignment with Business Needs: Offers flexibility to meet specific requirements.
  • Lower Risk than Custom Development: Changes stay within SAP’s supported framework, reducing maintenance challenges.
  • Easier Upgrades: Customizations are generally compatible with future updates.

Cons:

  • Limited by SAP Tools: Some complex needs may not be met through customizing alone.
  • Reconfiguration Needs: Updates may require minor adjustments, adding to costs.

3. Custom Development

Custom development involves creating entirely new functionality or customer-specific enhancements, typically by developers working directly on the customer’s system. This is distinct from customizing and often involves coding new logic or features.

Pros:

  • Perfect Fit for Unique Needs: Supports highly specialized workflows or requirements.
  • Competitive Edge: Tailored solutions can deliver unique efficiencies.

Cons:

  • High Maintenance Costs: Custom features require ongoing support and updates.
  • Upgrade Challenges: Developments may not be compatible with SAP upgrades, increasing costs.
  • Longer Implementation: Building custom solutions extends deployment timelines.

4. Modifications

Modifications involve directly altering SAP’s standard codebase, which is distinct from both customizing and custom development. This approach, including user exits, is not recommended unless absolutely necessary, as it can lead to inconsistencies and requires SAP Software Change Registration.

Pros:

  • Highly Specific Changes: Allows direct tweaks to SAP objects for precise needs.

Cons:

  • High Risk: Modifications can cause system instability and complicate upgrades.
  • Vendor Support Issues: Modified systems may lose standard support.

Use Case: Modifications, such as user exits, are used sparingly to alter SAP objects when enhancements or customizing cannot meet requirements.

Finding the Right Balance

Choosing between OOTB, customizing, custom development, or modifications is like picking a car: Do you need a standard model, one with optional features, or a fully custom-built vehicle?

  • OOTB is great for businesses needing quick deployment with minimal complexity.
  • Customizing (via tools like SPRO, BRF+, or SM30) offers a balanced approach, providing flexibility within SAP’s framework.
  • Custom Development is ideal for unique, mission-critical needs that OOTB or customizing can’t address.
  • Modifications should be a last resort due to risks and maintenance challenges.

Enhancing SAP PLM

SAP provides enhancement options to extend functionality without modifying the core codebase. These include:

  • Data Dictionary Enhancements: Add fields to standard tables or structures using append structures or customizing includes.
  • Customer Exits: Enhance standard programs (via SMOD) for validations, substitutions, or additional screens.
  • Business Transaction Events (BTEs): Used primarily in FI modules for reports, validations, or substitutions (accessible via FIBF).
  • Business Add-Ins (BADIs): Object-oriented enhancements for custom logic (managed via SE18/SE19).

Conclusion

To make your SAP PLM implementation work well, you need to balance out-of-the-box (OOTB) features, customization, custom development, and modifications. OOTB is fast and dependable, customization gives you flexibility within SAP’s structure, and custom development creates solutions tailored to your needs. Try to avoid modifications unless they’re absolutely necessary. By looking at your business needs, long-term goals, and how upgrades might affect things, you can get the most out of your SAP PLM investment, boosting innovation while keeping costs manageable.